Where a company incorporated outside Hong Kong establishes a place of business or branch office in Hong Kong as an extension of the investing company, it is referred to as a "non-Hong Kong company". Unlike a subsidiary, a branch can leverage off the credit rating and more of the overseas owner. The key differences between a branch and a representative office are the operating scope and tax treatment.

Nature and key conditions of a branch office

Branch	-	It is the establishment of a place of business in Hong Kong where the non-Hong Kong company carries on business.
Legal and tax treatment	-	Such branch offices are generally subject to the same legal and tax consequences as companies incorporated in Hong Kong.
Registration	-	Non-Hong Kong companies must register their branch with the Registrar of Companies.
Ongoing compliance	-	Branches are legally required to file annual returns, audited accounts, specified forms, etc, on an ongoing basis

Process and cost of registering a branch office

The non-Hong Kong company must apply for registration within one month of establishing a place of business in Hong Kong. It is advisable to apply before business commences.

Step 1 - Submit the following to the Companies Registry:

• A certified copy of the instrument defining the company's consitution.
• A completed Form N1 which includes particulars of the company's directors, secretary and company's authorised representative in Hong Kong, the principal place of business in Hong Kong and in the place of incorporation, etc.
• A certified copy of the company's certificate of incorporation (or its equivalent).
• A certified copy of the latest accounts of the company (If the company is substantially a private company and is not required to publish or disclose its accounts to the public, it is not required to submit accounts but the reason must be stated on the Form N1).
• The prescribed fee of HK$1,720. If the application is unsuccessful, the registration fee of HK$1,425 may be refunded.